>> it sounds as if you are saying you think this group of taxpayers making 25,000 to 45,000 a year is already overtaxed, yet your tax proposal would increase their taxes. i think your aides have said those earning about 25,000 to 35,000, their tax rate would go up -- their tax bill would go up a hundred dollars, and from 35,000 to 45,000, more than that, several hundred dollars. wouldn't that stifle their incentive to work and invest and so on, and also hurt the recovery? >> the first thing is, everybody 25,000 and under would have no tax increase. mr. reagan, after the election, is going to have to propose a tax increase, and you will have to compare what he proposes. and his secretary of the treasury said he's studying a sales tax or a value-added tax. they're the same thing. they hit middle- and moderate- income americans and leave wealthy americans largely untouched. up until about $70,000, as you go up the ladder, my proposals will be far more beneficial.